I'm working on a package (blas) that contains a postscript document with no
source supplied by upstream.
Obviously I can remove the postscript file from the binary package, but is
this sufficient or do I also need to remove it from the source package -
which implies re-packaging the .orig.tar.gz
I'd like to get this right because the package was rejected when it was last
uploaded (by a previous maintainer) because of this.

I seems silly to leave out the documentation. For a library like blas you
really need it. It should be possible to extract the text from the
Postscript document using pstotext (apt-get'able)
(http://pages.cs.wisc.edu/~ghost/doc/pstotext.htm).

(I have never used pstotext, so I don't know how well it works). The
salvaged text could then be reformatted for texinfo, for example.

This leaves the problem of copyright, which I assume is independent of
format, and could possibly simply be propagated to the reformatted document.